16333 Statutory Valuation and Compensation

Warning: The information on this page is indicative. The subject outline for a particular session, location and mode of offering is the authoritative source of all information about the subject for that offering. Required texts, recommended texts and references in particular are likely to change. Students will be provided with a subject outline once they enrol in the subject.

Subject handbook information prior to 2025 is available in the Archives.

UTS: Design, Architecture and Building: School of the Built Environment
Credit points: 6 cp

Subject level:

Undergraduate

Result type: Grade and marks

Requisite(s): ((16231 Property Management OR 16298 Property Management) AND (16632 Built Environment Law and Professional Practice OR 16217 Built Environment Law & Professional Practice) AND 16642 Property Investment and Valuation)
These requisites may not apply to students in certain courses. See access conditions.

Description

The determination of value is required for many disparate purposes of which some definitions of value are codified within statutes. The statutory purposes for which values are required include the rating and taxing of land, which yields the fourth largest source of tax revenue in Australia, and the compulsory acquisition of land for urban renewal and the provision of infrastructure. As value increasingly becomes codified, the necessity to be able to assess value within specific statutes has shaped the valuation profession and expanded the role of the valuer.

This subject equips students to assess, prepare and defend statutory valuations used for land acquisition and urban renewal purposes, rating and taxing of land and other court-related purposes including general litigation, family law and equity involving property. The subject is designed to cover the preparation of instructions, statements of evidence and the presentation and delivery of expert evidence before the courts. This subject equips students to draft, accept and comply with valuation instructions, determine fees and retainers and carry out valuations in line with their instructions.

Subject learning objectives (SLOs)

On successful completion of this subject, students should be able to:

1.	Demonstrate an understanding of the responsibilities of valuers and property professionals
2.	Define the causes of liability against property professionals
3.	Navigate the processes involved in land acquired for public purposes in NSW and Australia in the provision of public infrastructure
4.	Determine compensation for land compulsorily acquired under land acquisition statutes and policies
5.	Define policy reform in the compulsory acquisition and rating and taxing of land
6.	Prepare valuation instructions and valuation reports in accordance with industry standards for statutory valuation purposes
7.	Carry out valuation of land for rating and taxing purposes
8.	Prepare a basis of value supporting the componentisation method of valuation
9.	Identify and calculate concessions and allowances under the Valuation of Land Act 1916 and Land Tax Management Act 1956
10.	Assess rating and taxing assessments and to defend, as a valuer, the same and rating and taxing assessments
11.	Prepare statements of evidence and briefing legal counsel on valuation rating and taxing/compulsory acquisition cases before the courts
12.	Prepare for cross examination in a court case and able to give evidence as an expert witness

Contribution to the development of graduate attributes

The term CAPRI is used for the five Design, Architecture and Building faculty graduate attribute categories where:

C = communication and groupwork

A = attitudes and values

P = practical and professional

R = research and critique

I = innovation and creativity.

Course intended learning outcomes (CILOs) are linked to these categories using codes (e.g. C-1, A-3, P-4, etc.).

Teaching and learning strategies

This subject is delvered weekly. Complex hypothetical scenarios derived from live case studies are used to provide practical context to the principles and theories that underpin the topics in this subject. Industry presentations are made by past students now practising in statutory valuation cases which further demonstrate the application and challenges confronting the site assembly process. Working collaboratively using hypothetical cases will engage students in problem solving using qualitative and quantitative methods and promote the ability to articulate solutions in both written and verbal format.

Content (topics)

Topics covered by this subject include:

Compulsory acquisition of land;
Statutory valuations defined under statute;
Rating and taxing of land;
Preparing for court, statements of evidence, and expert evidence;
Causes of liability for property professionals;
Case preparation and presentation;

Assessment

Assessment task 1: Short answer quiz

Intent:

The intent of this assessment is to assess the students understanding and application of principles covered in the class lectures.

Objective(s):

This task addresses the following subject learning objectives:

1, 3, 4, 5 and 6

This task also addresses the following course intended learning outcomes that are linked with a code to indicate one of the five CAPRI graduate attribute categories (e.g. C.1, A.3, P.4, etc.):

.1, .1, .2, .2 and .6

Type:

Quiz/test

Groupwork:

Individual

Weight:

20%

Criteria linkages:

Criteria	Weight (%)	SLOs	CILOs
Governance of the property and valuation profession	20	1	.6
Demonstrate knowledge in interpreting complex problems	20	3	.2
Apply principles to practice in acquisition cases	20	4	.1
Calculate interests compensable in land acquisition cases	20	5	.1
Define and refine policy applicable in land acquistion and land tax cases	20	6	.2

SLOs: subject learning objectives
CILOs: course intended learning outcomes

Assessment task 2: Case analysis

Intent:

The intent of this assessment is to provide a group environment for students to work on a Rating and Taxation Valuation

Objective(s):

This task addresses the following subject learning objectives:

1, 3, 4 and 5

This task also addresses the following course intended learning outcomes that are linked with a code to indicate one of the five CAPRI graduate attribute categories (e.g. C.1, A.3, P.4, etc.):

.1, .2, .3 and .4

Type:

Report

Groupwork:

Group, group assessed

Weight:

30%

Criteria linkages:

Criteria	Weight (%)	SLOs	CILOs
Work in a group environment to review court cases and legislation for statutory valuation purposes	30	3	.1
Determine the practical implications for a value when dealing with Land Tax assessments.	10	4	.4
Demonstrate research and analytical skills and application of valuation methods.	30	5	.2
The Group will produce a professional valuation report demonstrating compliance to reporting standards.	30	1	.3

SLOs: subject learning objectives
CILOs: course intended learning outcomes

Assessment task 3: Exam

Intent:

The intent of this assessment is to measure on an individual basis the understanding of principles, case law and their application in relation to material covered within the lectures.

Objective(s):

This task addresses the following subject learning objectives:

10, 12, 2, 3, 4, 7, 8 and 9

This task also addresses the following course intended learning outcomes that are linked with a code to indicate one of the five CAPRI graduate attribute categories (e.g. C.1, A.3, P.4, etc.):

.1, .1, .3 and .6

Type:

Examination

Groupwork:

Individual

Weight:

50%

Criteria linkages:

Criteria	Weight (%)	SLOs	CILOs
Define the causes of liability that may arise	15	2	.1
Determine compensation for land compulsorily acquired under land acquisition statutes and policies	10	4	.1
Navigate the processes involved in land acquired for public purposes in NSW and Australia in the provision of public infrastructure	10	3	.6
Undertake Rating & Taxing Valuations	15	7	.1
Prepare a basis of value on which to undertake valuations	15	8	.3
Concessions & Allowances	10	9	.1
Prepare to Object & Defend Rating & Taxing valuations	15	10	.6
Undertake and defend statutory valuations	10	12	.1

SLOs: subject learning objectives
CILOs: course intended learning outcomes

Minimum requirements

The DAB attendance policy requires students to attend no less than 80% of formal teaching sessions (lectures and tutorials) for each class they are enrolled in to remain eligible for assessment.

Required texts

Brown, D. Land Acquisition, 2009 6th Ed, Lexis Nexus Butterworths - Reserved copies UTS library / Coop Bookshop

Mangioni, V. Land Tax in Australia: Fiscal Reform of Subnational Government 2016, Routledge London & New York. - Reserved copy UTS Library / Coop Bookshop

http://www.lec.justice.nsw.gov.au/Documents/class-3-compensationclaims.pdf

http://www.lec.justice.nsw.gov.au/Documents/pn_class_3_valuation_objections_14_may_2007.pdf

Recommended texts

Hyam, A. The Law Affecting the Valuation of Land, 2009 4th Ed, Federation Pressnt]

Jacobs, M. Law of compulsory land acquisition, 2010 Law Book Co.

References

LexusNexus legal data base library

Austlii.edu.au

Readings online (UTS online)